StaySafeInTheCryptoWorld

Main TakeawaysScammers exploit multi-signature wallets by tricking victims into granting co-signer access or full ownership, turning a security feature into a weakness.Common tactics include seed phrase traps that bait victims into funding scammer-controlled wallets, and permission takeovers that lock victims out by adding scammers as co-owners or owners.Protect yourself by never importing seed phrases provided by others, never sharing your seed phrase, always reviewing transactions before signing, verifying websites carefully, and regularly checking your wallet permissions.“More signatures mean more security.” But what if one of them now belongs to a scammer?The multi-signature (MultiSig) feature was designed to enhance crypto security by requiring multiple private key signatures to approve a transaction. Instead of a single point of failure, control is distributed – so that even if one key is compromised, a hacker shouldn’t be able to move funds without the others.However, this extra layer of protection has recently became a double-edged sword on TRON. Scammers are exploiting the network’s flexible permission system that allows users to finely control who can access and manage their accounts. In this blog, we’ll break down how MultiSig is being twisted from a shield into a weapon – and what TRON users need to watch out for.TRON Permission StructureTRON accounts use a permission system that allows fine-grained control over what actions different keys can perform. For our purposes, two key permission types are most relevant:Owner Permission: Controls high-level actions like modifying account permissions or transferring ownership.Active Permission: Governs regular operations such as transferring funds or interacting with smart contracts.To execute, any transaction on the TRON network must be signed by a private key or a combination of keys in a multi-signature setup that has the appropriate permission and meets the required threshold for that specific action.How MultiSig is ExploitedIn a typical MultiSig scam, the attacker finds a way to become one of the required signers – either by tricking the victim into granting them access or by exploiting smart contract flaws or platform-specific permissions. On the TRON network, this tactic takes on two forms.1. Seed Phrase and Private Keys TrapsThese scams drop seed phrases or private keys across multiple platforms like YouTube and X, hoping to lure unsuspecting users into interacting with them.The Setup: Scammers claim they aren’t sure how to transfer funds out of a wallet. They share the seed phrase publicly, asking others to import it and help move the funds – sometimes even promising a reward.The Bait: The wallet appears loaded with a large amount of tokens or USDT, tempting victims to transfer funds out quickly.The Trap: While the wallet holds plenty of tokens, it doesn’t have enough TRX – the native coin required to pay transaction fees. Victims, eager to move the funds, often send their own TRX to cover these fees.The Realization: After funding the wallet with TRX, victims discover they can’t complete any transactions because the wallet is actually controlled by the scammer. The scammer then transfers out the TRX the victim sent – resulting in a loss for the user.Because the wallet’s MultiSig setup requires multiple signatures – signatures the victims don’t have – users who send small amounts of TRX to cover transaction fees end up unable to move any funds. Scammers plant these seeded wallets publicly across social media, hoping many people will take the bait and send TRX without any direct contact. Over time, scammers passively collect significant amounts of TRX while keeping full control locked away.2. Account Permissions TakeoverNot all MultiSig scams are simple bait-and-wait traps. Some are far more sophisticated and sinister – designed to trick you into adding the scammer as a co-owner or co-signer of your wallet. Once they gain this foothold, they can either lock up your funds or, in some cases, take full control of your wallet and drain them entirely.The Setup: Scammers direct users to malicious websites by either posing as exchange support staff or promoting fake airdrop opportunities through social media.The Bait: You’re told to claim an airdrop or connect your wallet to participate in a promotion. The goal? Getting you to sign a seemingly harmless transaction.The Trap: The transaction isn’t what it seems. Instead of claiming a reward, you’re unknowingly approving an account permission update. The details are buried in confusing jargon – or hidden behind a vague “Approve” button.The Realization: Once the transaction is signed, your wallet permissions are altered. In some cases, full owner rights are transferred to the scammer. In others, the scammer adds themselves as a co-signer, locking themselves in as a required participant for all future transactions.With the wallet now requiring multiple signatures to move any funds – signatures you no longer control – you’re effectively locked out.Note: Similar tactics have been observed on Solana as well. There, scammers trick users into signing transactions that transfer authority over token accounts or grant broad execution rights, leading to the same result: loss of control.How to Protect Yourself From MultiSig ScamsProtect Your Seed Phrase: Your seed phrase is the master key to your wallet. Never share it with anyone, and never import private keys or seed phrases provided by others – no matter the reason.Pause and Think Before Signing: Always double-check what you’re about to approve. Whether it’s a transaction or a message, take a moment to understand what you’re signing.Verify website URLs: Watch for subtle red flags like spelling errors, odd fonts, or strange layouts. These can indicate phishing sites designed to mimic real platforms.Check your wallet’s permissions: Use a chain explorer such as tronscan.org to inspect any wallet’s permission settings: Paste the wallet address into the search bar.On the wallet’s account page, look for any permission highlights that indicate changes.Click on the [View Account Permission] button or the [Account Permission] section on the page to see full details of who controls the wallet and what level of access they have.Stay Alert and Informed: In Web3, your best defense isn’t just a strong password – it’s staying informed. From seed phrase traps to account permissions take over, scammers are getting creative with how they exploit features like MultiSig on TRON. Don’t let them catch you sleeping. Keep up with evolving scam tactics by following trusted resources like Binance Academy, our Know Your Scams series, and security blogs. The more you learn, the harder you are to fool. Knowledge isn't optional. It's armor.Final ThoughtsMulti-signature wallets are built for security – but in the wrong hands, they can become weapons against you. The good news is that you don’t need to be a tech expert to stay safe: just stay sharp and question everything. Never share your seed phrase, import keys from strangers, or blindly sign transactions. Make it a habit to review your wallet permissions, and most importantly, keep learning – because in Web3, knowledge isn’t just power, it’s your strongest layer of protection!Further ReadingStay Safe From Smishing – Activate your Anti-Phishing Code Today Avoiding the Sticky Trap of Honeypot Scams Halting Trojan Horses at the Gates of Your Crypto Fortress

Main TakeawaysIndonesia’s Criminal Investigation Agency, also known as Bareskrim, is ramping up its efforts to fight crypto-related crime using blockchain analytics and AI tools.A senior Bareskrim officer shared with Binance that the agency is observing a rise in romance scams, phishing, and deepfake-powered fraud, and is working to address these rising threats through better training and building more robust international ties.According to the officer, collaboration with crypto exchanges, wallet providers, and foreign law enforcement agencies is critical to identifying suspects and freezing illicit funds.As crypto adoption rises quickly across Southeast Asia, so does the complexity of financial crimes where digital assets play a role. From deepfake-assisted identity fraud to romance scams, the threat landscape is evolving rapidly. In Indonesia, Bareskrim, the Criminal Investigation Agency under the National Police, is developing an integrated approach to safeguarding the digital space. By exploring cutting-edge tools and developing partnerships with exchanges and international law enforcement, the agency is transforming how financial crime is investigated and tackled. This blog summarizes the insights that Ferry Maulana, a senior investigator at Bareskrim, shared with Binance, zooming in on how the agency is responding to new trends in crypto crime, what challenges it faces, and how public-private security collaboration is creating a real-time impact throughout the digital financial ecosystem.  Evolving Threats: Deepfakes, Self-Custody Wallets & Cross-Chain LaunderingBy integrating advanced tools like AI and blockchain analytics, Bareskrim is improving its ability to follow complex fund flows, uncover wallet clusters, and flag suspicious activity hidden behind layers of obfuscation. These capabilities are especially critical as criminals increasingly exploit self-custody wallets, cross-chain laundering and highly liquid stablecoins. When stolen funds are traced to a centralized exchange, Bareskrim submits a formal data request, looking to obtain know-your-customer (KYC) and transaction details related to the implicated accounts, and, where relevant, seeks assistance from foreign law enforcement in identifying suspects and freezing the assets. This highlights how well-defined escalation procedures and mutual legal assistance treaties (MLATs) are central to public-private collaboration in crypto investigations.Building a Safer Crypto EcosystemBareskrim’s Ferry Maulana official shared that his agency has seen a noticeable increase in scams leveraging romance hooks, fake investment apps, and social media phishing – many of which utilize deepfake technology to trick users or pass identity verification checks. In order to adapt, Bareskrim has prioritized officer training by investing in both domestic and international programs focused on blockchain forensics and crypto tools. Technical upskilling is paired with partnerships across Southeast Asia and beyond, giving officers access to the tools and expertise needed to navigate the decentralized crypto-related crime. To address rising risks in the upcoming years, Bareskrim is reinforcing its investigative protocols and expanding its global networks, especially those instrumental in addressing DeFi-based laundering and AI-generated scams.Despite the pseudonymous nature of blockchain transactions, Maulana emphasized, the traceability of on-chain data allows Bareskrim to identify “off-ramps” where real-world identities can be revealed – the work that relies in no small part on timely assistance from exchanges and wallet providers. In cases where suspects operate outside of Indonesia, cross-border collaboration becomes critical to tracking, disrupting, and prosecuting criminal activity.Enhancing Public-Private PartnershipsPublic-private partnerships have become a defining element in the global response to crypto-crime. Bareskrim believes that collaboration with centralized exchanges like Binance is critical to keeping pace with evolving threats. Fast response times to lawful data requests, proactive alerts on suspicious transactions, and context-specific scam detection can dramatically accelerate investigations – and all these elements require robust cooperation between law enforcement and private-sector actors.Additionally, exchanges and wallet providers can strengthen collaboration by offering direct law enforcement contact points, red-flag typologies tailored to regional scam tactics, and educational initiatives to protect users before fraud occurs. Ultimately, Bareskrim sees the mission as a shared one – a secure crypto environment built on trust, transparency, and coordination between law enforcement, regulatory agencies, and the private sector.Final ThoughtsBareskrim’s approach to fighting crypto-related crime, rooted in innovation, capacity-building, and collaboration, illustrates how law enforcement continues to evolve in the face of new threats. By strengthening technology expertise and fostering strong public-private partnerships, Bareskrim is not only enhancing its investigative capabilities but also positioning itself to remain agile and effective in addressing the dynamic and ever-evolving threat landscape.The insights shared by the Bareskrim officer underscore the critical role of continuous learning and international cooperation in combating sophisticated financial crimes. As crypto adoption grows, so does the responsibility of all stakeholders to ensure a secure and transparent environment. Through shared efforts and a commitment to innovation, the path forward promises a more resilient and trustworthy digital economy for all.Further ReadingBinance Anti-Scam Heroes: Tricked by a Trusted Seller, Saved by BinanceInvestigating Crypto Crimes: Key Challenges and Strategies for ImprovementStrengthening Public-Private Collaboration in the Crypto Space: Insights from India’s ED